MANILA, Philippines - Three mining firms have appealed a Court of Appeals (CA) ruling last March upholding President Aquino’s revocation of their permits for large-scale operations in Palawan.
Narra Nickel Mining and Development Corp., Tesoro Mining and Development, and McArthur Mining Inc. jointly asked the CA’s fifth division to reconsider its decision affirming the legality of the April 5, 2011 order of the Office of the President canceling their Financial or Technical Assistance Agreement (FTAA) with Canadian firm MBMI Resources Inc. that was approved by the previous Arroyo administration.
The FTAA covered exploration, development and utilization of minerals in Rizal, Bataraz, and Narra towns in Palawan.
In a 34-page motion filed through lawyer Alfredo Caguioa last week, the mining firms reiterated their bid for reinstatement of the ruling issued by the Mines Adjudication Board granting them a permit for their mining operations.
They argued that the appellate court erred in acting on the petition of Redmont Consolidated Mining Corp., their rival over the subject areas, which they said did not have legal standing for being not a party to the FTAA.
They also insisted that the assailed revocation order should be nullified simply because it was issued by the Office of the President which “had no jurisdiction to unilaterally cancel, revoke or terminate the FTAA in violation of the clear terms of the FTAA, including the latter’s arbitration clause.”
“The FTAA is a valid, binding contract between the government and the petitioners which deserves respect and breach of which by the government exposes it to significant liability,” they further argued.